A company has bonds outstanding with a par value of $100,000. The unamortized discount on these bonds is $4,800. The company calls these bonds a a price of $98,000 the gain or loss on retirement is: Multiple Choice $0 gain or loss. $2,800 gain. $2,800 loss.

A company has bonds outstanding with a par value of $100,000. The unamortized discount on these bonds is $4,800. The company calls these bonds a a price of $98,000 the gain or loss on retirement is: Multiple Choice $0 gain or loss. $2,800 gain. $2,800 loss.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

A company has bonds outstanding with a par value of $100,000. The unamortized discount on these bonds is $4,800. The company calls these bonds a
a price of $98,000 the gain or loss on retirement is:
Multiple Choice
$0 gain or loss.
$2,800 gain.
$2,800 loss.

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